Lines for Unemployment Benefits Grow

The data release shows that the number of workers filing
for unemployment insurance benefits for the first time,
increased to 390,000 for the week ending Jan 26, from
360,000 the previous week, roughly in line with Wall Street
expectations.

The four-week moving average, which smoothes out weekly
volatility, fell by 15,250 to 386,000 claims – the lowest
level since August last year.

The data release comes ahead of January’s unemployment
figure to be released tomorrow. Economists from Standard
& Poor’s expect the unemployment rate to increase to
5.9% from December’s 5.8% reading.